Willis Lease Finance (NASDAQ:WLFC) Announces Quarterly Earnings Results, Beats Estimates By $0.24 EPS

Willis Lease Finance (NASDAQ:WLFCGet Free Report) announced its quarterly earnings results on Tuesday. The transportation company reported $3.26 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.02 by $0.24, FiscalAI reports. Willis Lease Finance had a return on equity of 18.00% and a net margin of 15.38%.The company had revenue of $194.35 million during the quarter, compared to the consensus estimate of $175.00 million.

Here are the key takeaways from Willis Lease Finance’s conference call:

  • Record quarter — Q1 delivered record lease rent revenues of $77.4M, adjusted EBITDA of $123.8M and GAAP diluted EPS of $3.26, with owned portfolio at $2.86B and AUM of $4.1B.
  • Strong liquidity and low leverage — Management says ~$1.5B of capital is ready to deploy, the revolver was expanded to $1.75B, and leverage fell to ~2.68x, positioning the company to pursue growth opportunities.
  • Willis Aviation Capital gaining traction — WAC now manages >$2.7B of committed/deployed capital, has begun selling engines to a Blackstone fund and funding leases via a Liberty Mutual fund, aiming to add recurring management fees and carried interest.
  • Market dynamics are supportive but uncertain — Engine supply constraints and strong leasing demand support lease rates, but geopolitical fuel-price risk could pressure airlines, potentially reducing mid-life aircraft values even as engines (especially modern types) remain relatively resilient.
  • Rising operating and financing costs — G&A rose by $8.9M (driven by higher share-based comp and headcount), net finance costs increased ~$7.6M (including a $7M loss on debt extinguishment), which temper margins despite revenue gains.

Willis Lease Finance Stock Performance

NASDAQ WLFC opened at $229.09 on Wednesday. The stock has a market capitalization of $1.74 billion, a price-to-earnings ratio of 14.87 and a beta of 0.81. The stock has a 50-day moving average of $187.04 and a 200 day moving average of $162.32. The company has a current ratio of 3.86, a quick ratio of 3.52 and a debt-to-equity ratio of 4.08. Willis Lease Finance has a twelve month low of $114.01 and a twelve month high of $229.72.

Willis Lease Finance Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, May 22nd. Investors of record on Monday, May 11th will be issued a $0.40 dividend. The ex-dividend date of this dividend is Monday, May 11th. This represents a $1.60 dividend on an annualized basis and a yield of 0.7%. Willis Lease Finance’s dividend payout ratio is presently 10.38%.

Insider Buying and Selling

In other news, CEO Austin Chandler Willis sold 3,400 shares of the company’s stock in a transaction that occurred on Wednesday, April 1st. The stock was sold at an average price of $173.55, for a total transaction of $590,070.00. Following the completion of the transaction, the chief executive officer directly owned 183,475 shares of the company’s stock, valued at $31,842,086.25. This represents a 1.82% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Chairman Charles F. Iv Willis sold 9,727 shares of the stock in a transaction that occurred on Friday, March 27th. The shares were sold at an average price of $170.09, for a total value of $1,654,465.43. Following the transaction, the chairman owned 933,234 shares in the company, valued at $158,733,771.06. This trade represents a 1.03% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 19,397 shares of company stock valued at $3,333,181 over the last 90 days. Company insiders own 53.32% of the company’s stock.

Hedge Funds Weigh In On Willis Lease Finance

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Smartleaf Asset Management LLC purchased a new stake in shares of Willis Lease Finance during the fourth quarter worth about $46,000. Osaic Holdings Inc. boosted its holdings in Willis Lease Finance by 742.5% in the 2nd quarter. Osaic Holdings Inc. now owns 337 shares of the transportation company’s stock worth $48,000 after buying an additional 297 shares during the last quarter. EverSource Wealth Advisors LLC acquired a new stake in Willis Lease Finance in the 2nd quarter worth about $54,000. Larson Financial Group LLC increased its stake in Willis Lease Finance by 197.9% during the 3rd quarter. Larson Financial Group LLC now owns 694 shares of the transportation company’s stock worth $95,000 after buying an additional 461 shares in the last quarter. Finally, DZ BANK AG Deutsche Zentral Genossenschafts Bank Frankfurt am Main acquired a new position in shares of Willis Lease Finance during the second quarter valued at approximately $109,000. 93.70% of the stock is owned by hedge funds and other institutional investors.

Willis Lease Finance News Summary

Here are the key news stories impacting Willis Lease Finance this week:

Wall Street Analyst Weigh In

Separately, Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Willis Lease Finance in a research note on Friday, March 27th. One analyst has rated the stock with a Hold rating, According to data from MarketBeat.com, Willis Lease Finance has a consensus rating of “Hold”.

View Our Latest Stock Report on WLFC

Willis Lease Finance Company Profile

(Get Free Report)

Willis Lease Finance Corporation (NASDAQ: WLFC) is an independent global provider of aircraft engine leasing, trading and aftermarket services. Founded in 1991 and headquartered in the United States, the company specializes in offering short- and long-term operating leases for jet engines and auxiliary power units. Through its broad engine portfolio, Willis Lease Finance supports a wide range of commercial aircraft across various operators, including major airlines, regional carriers and other leasing companies.

In addition to leasing solutions, Willis Lease Finance offers comprehensive engine trading and asset management services.

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Earnings History for Willis Lease Finance (NASDAQ:WLFC)

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